teaming up

Houston renewable energy company taps 2 industry partners for project

The facility will provide hundreds of jobs with an expected daily output of up to 3,000 barrels per stream that uses both renewable diesel and sustainable aviation fuel. Photo via Getty Images

A Houston company that's working on a major alternative energy facility in Texas has named two new partners on the project.

Santa Maria Renewable Resources has selected Topsoe as its technology provider, and executed license and engineering agreements, as well as partnered with an engineering firm for its East Texas facility.

The licenses encompass innovations like HydroflexTM and H2bridgeTM technologies. Topsoe’s HydroFlex process layout combined with the H2bridge lower carbon intensity of renewable fuels , and offers greenhouse gas emission savings. The process is part of a sustainable agriculture project currently in development by SMRR in East Texas.

The facility will provide 600 to 700 construction jobs and 300-plus permanent operating employment positions with an expected daily output of up to 3,000 barrels per stream that uses both renewable diesel and sustainable aviation fuel. The demand for RD and SAF grows,and the aviation industry aims to meet net zero carbon emissions by 2050.

SMRR has also partnered with Chemex Global to commence the front-end engineering design for the facility in East Texas.

“The collaboration with Topsoe and Chemex Global marks a significant company milestone, amplifying the potential of our project,” says Pat Sanchez, founder and CEO of SMRR, in a news release. “The incorporation of these licenses, complemented by tailored engineering insights from both organizations will seamlessly integrate into our ongoing front end engineering design. We’re pleased to collaborate with these industry experts ensuring the smooth progression on this project.”

SMRR is a vertically integrated renewable energy, and biobased production developer.

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A View From HETI

Meta's data center in Temple, Texas. Rendering courtesy Meta

Responding to public outcry, Gov. Greg Abbott has stepped up his campaign against data centers by temporarily halting approval of environmental permits for data center projects.

This and previous moves by Abbott essentially amount to a temporary freeze on the development of new data centers in Texas. His actions come at a time when Texas’ stature as a data center hub has been soaring.

On Monday, Abbott directed the Texas Commission on Environmental Quality to stop issuing permits for data center developments until the Electric Reliability Council of Texas (ERCOT) and Public Utility Commission of Texas complete their review of projects seeking power grid connections.

With regulatory reviews underway and environmental permitting now frozen, state regulators currently cannot approve or deny requests from data center developers, Abbott said.

In a letter to the environmental quality commission’s executive director, Kelly Keel, Abbott said this directive is “consistent with my whole-of-government approach to ensure Texans’ natural resources and way of life are protected.”

Abbott previously ordered the Texas Water Development Board to require data centers to meet reporting requirements for water use. He also told the board to impose penalties for failure to comply with those requirements and to collaborate with ERCOT on its review.

Abbott launched his crackdown on data centers in August by ordering the Public Utility Commission and ERCOT to review data center projects in Texas. The audits will examine all data centers in the queue for interconnections before any more projects can move forward. Interconnections enable data centers to share power, data and computing resources.

In calling for those audits, Abbott cited concerns over data centers’ use of water and electricity, and the centers’ effect on infrastructure expenses and consumers’ utility rates.

“Simply put, Texans must come first,” the governor said.

During next year’s legislation session, Abbott will push for the elimination of state financial incentives for data center projects.

Ed Hirs, an energy fellow ⁠at the University of Houston, told Reuters that Abbott was backtracking on “his earlier pronouncements about data centers leading to lower electricity prices.”

Abbott’s actions come amid growing public backlash over data centers. A recent University of Houston survey found that nearly 63 percent of Houston-area residents opposed construction of a data center within a mile of their home.

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